Chapter 27

1)The Diplomacy of the New Era

a)Replacing the League
i)Harding administration sought to negotiate separate peace treaties w/
Central Powers, find impermanent way to replace League as
guarantor of world peace
ii)Washington Conference of 1921 sought to deal w/ naval arms race
btwn US, GB, Japan: Five-Power Pact limited armaments; NinePower Act continued Chinese Open Door policy; Four-Power Act
acknowledged Pacific territories
iii)Kellogg-Briand Pact 1928 btwn 14 nations to outlaw war as policy
measure
iv)New Era efforts to protect peace w/o active international duties
b)Debts and Diplomacy
i)Diplomacy used to ensure free overseas trade thru reducing war and
making financial arrangements w/ other nations
ii)US prosperity depended on Eur economy, which was suffering from
war destruction, Allied debt on US loans, Central reparations US
acted to head off collapse thru 1924 Dawes Plan that created circular
loan system where US loaned Germany money to pay GB + French
debt who used $ to pay US debt
iii)System led to increase in Eur debt, US banks and corporations took
advantage of collapsed industries to assert themselves; high US tariffs
under Republicans prevented Eur export of goods to earn money to
repay loans
iv)US economic expansion into Latin America during 1920s to better
access rich natural resources, give loans to governments
c)Hoover and the World Crisis
i)Stock market crash of 1929 and worsening problems after 1931,
growing nationalism + new hostile governments faced by Hoover
administration
ii)Hoover promised to recognize new Latin American govt if any
collapsed, did not intervene some defaulted on US loans (against M.
Doctrine + R.Corollary)
iii)In efforts to restore Eur economic stability Pres refused to cancel
debts- some nations defaulted; 1932 World Disarmament Conference
ended in failure

iv)Difficulties increased b/c of control by Benito Mussolinis

nationalistic Fascist Party in Italy & Adolf Hitlers Nationalist
Socialist Party (Nazis)
v)Crisis in Asia when in 1931 Japanese military staged coup against
liberal govt b/c it had allowed Chinas leader Chiang Kai-Shek to
expand his power in Manchuria (which had been economically
dominated by Japan) Japan invaded Manchuria + then China itself
(Hoover refused to issue sanctions)
vi)Interwar diplomacy of international voluntary cooperation and refusal
to actively commit itself a failure; nation could now adopt
internationalism or become even more nationalistic + isolated would
try measures of both
2)Isolationism and Internationalism
a)Depression Diplomacy
i)Early Roosevelt admin foreign policy concerned mainly w/ pressing
economic issues- sought to differ from Hoover by solving war debts
+ adopting gold standard. However, 1933 World Economic
Conference accomplished little
ii)FDR forbid continuation of circular loan system, did little to stabilize
international currencies; did adopt Reciprocal trade Agreement Act of
1934 to advance principles of free trade
b)American and the Soviet Union
i)FDR agreed to recognize Soviet Union in 1933 in hopes of increasing
trade btwn nations (not b/c of lessening of hatred toward
Communism)
c)The Good Neighbor Policy
i)Good Neighbor Policy toward Latin America focused on trade
reciprocity (free trade);1933 Inter-American Conference
administration officially pledged to not intervene in affairs of Latin
nations. Closer economic ties emerged
d)The Rise of Isolationism
i)Geneva Conference on disarmament disbanded and Japan withdrew
from 1921 Washington Conference; agreements of 1920s collapsed
during 1930s
ii)Many Americans supported isolationism b/c internationalism of
League of Nations failed to restrain Japanese Asian aggression, belief

US business interests had led to WW I involvement; FDR helpless to

change tide
iii)Neutrality Acts of 1935, 36, 37 meant to prevent issues of WWI
from allowing US entrance into new war- neutral rights of US
citizens defined, cash-and-carry policy allowed only nonmilitary
goods to be sold to warring countries who had to provide own
transportation
iv)Military neutrality upheld after Italys invasion of Ethiopia and
during Spains civil war btwn fascist Falangists + repub govt
v)Alarm over Japans 1937 new assaults into China (after 1931
Manchuria invasion) led FDR to question isolationism, delivered
Quarantine speech saying aggressors should be prevented from
spreading war; speech unpopular
e)The Failure of Munich
i)In 1936 Hitler moved army into demilitarized Rhineland, 1938
invaded Austria to create union (anschluss) + demanded
Czechoslovakia cede Sudetenland to increase lands for Germans to
live (lebensraum); 1938 Munich Conference GB + France appeased
Hitler for promise would be last expansion
ii)1939 appeasement collapsed w/ German invasion of whole
Czechoslovakia and then Poland- GB + France honored defense
agreement w/ Poland, in September declared war against Germany
3)From Neutrality to Intervention
a)Neutrality Tested
i)Most Americans supported Allies, FDR wanted to grant assistance by
allowing arms sales to belligerents using cash-and-carry policy
ii)Quiet phony war period shattered by spring 1940 German blitzkrieg
invasion of W. Eur, by June France had fallen + GB retreated at
Dunkirk
iii)Roosevelt increased aid to Allies + monies for US self-defense,
scraped bottom of the barrel to give GBs Churchill war materials
iv)FDR able to take steps b/c public opinion shift after fall of France
Germany now seen as threat to US by majority; debate still btwn
interventionists who wanted increased US war involvement and
isolationist America First Committee supported by many Repubs
b)The Third-Term Campaign

i)Roosevelt sought 3 term in 1940 presidential election; Repubs

rd

nominated Wendell Willkie. Roosevelt won election w/ heavy

measure of support
c)Neutrality Abandoned
i)After election Roosevelt changed US war role-- cash-short GB
extended lend-lease agreement that allowed sale but also lending of
armaments, began ensuring shipments reached GB by Navy
patrolling Atlantic for subs
ii)After Germany broke 1939 Nazi-Soviet Pact by invading the USSR,
US extended lend-lease to Russians; Nazi subs began attacking US
ships, Congress voted to allow arming of merchants + US attacks on
subs
iii)1941 Churchill and Roosevelt released Atlantic Charter tying two
nations together to war aims to destroy Nazi tyranny
d)The Road to Pearl Harbor
i)1940 Japan signed Tripartite Pact allying itself w/ Germany and Italy;
in spite of Roosevelt denouncing Japanese aggression in 1941 it
invaded Indochina
ii)US froze Jap assets + placed trade embargo preventing Japan from
buying impt supplies (including oil). Tokyo attempted to negotiate w/
US to continue flow of supplies, but Jap PM Konoye forced out of
office by Gen Hideki Tojo
iii)Tojo govt refused to recognize US calls to guarantee Chinese
territorial rights so negotiations broke down, by November war
imminent; on December 7, 1941 Jap aircraft carriers attacked US
Pacific Navy HQ at Pearl Harbor
iv)US lost 8 battleships, 2,000 soldiers dead, US Pacific forces
weakened; resulted in unifying American ppl into commitment to war
v)December 8, 1941 US declared war on Japan; December 11 Germany
and Italy declared war on US, likewise same say us declared war on
them